Fair Housing

A Utah insurance company that refuses to issue homeowner's insurance in a neighborhood because of its racial composition is engaging in:

ASound actuarial risk assessment
BRedlining—which violates the Fair Housing Act as applied to insurance✓ Correct
CPermissible business practice protected by private property rights
DA legally protected underwriting decision

Explanation

Insurance redlining—refusing coverage based on neighborhood racial composition—violates the Fair Housing Act's prohibition on discrimination in the 'terms and conditions' of housing, which includes insurance.

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